scholarly journals ICT-based innovation and its competitive outcome: the role of information intensity

2019 ◽  
Vol 22 (2) ◽  
pp. 383-404 ◽  
Author(s):  
Paolo Neirotti ◽  
Danilo Pesce

Purpose Prior research highlights the vital role of Information and Communication Technologies (ICT) for innovation in response to environmental conditions. However, there is a lack of studies that analyse the determinants of ICT investments on the innovation activities of firms in relation with their impacts on the industrial and competitive dynamics using large data sets. The paper aims to discuss these issues. Design/methodology/approach In this paper, the authors investigate the effects of ICT investments on the industrial and competitive dynamics for a large and representative panel data set. All the industries are included, and lagged effects of ICT investments are studied. The model is tested on a seven-year panel (2008–2014) of 231 Italian industries using two-stage least squares instrumental-variables estimators with industry time and fixed effects. Findings The results indicate that munificent industries and higher ICT spending are interrelated facts, showing that in sectors with more growth opportunities firms invest more in ICT and this leads to higher industry concentration, greater profit dispersion and higher competitive turbulence in the sector. Also, the paper shows that SMEs can rarely take advantage of their ICT-based innovation to start high-growth phenomena. Practical implications The results suggest that ICT-based innovation may create competitive advantages that are hard to sustain over the long-term raising important implications for managers involved in ICT-enabled innovations and policy-makers involved in building programs to foster innovation. Originality/value Against the backdrop of today’s digital transformation, the paper enriches our understanding on the disruptive effects exerted by the digitalization of the innovation process and provides a base to continue the investigation of industrial changes and competitive dynamics.

Author(s):  
Albert Danso ◽  
Theophilus Lartey ◽  
Samuel Fosu ◽  
Samuel Owusu-Agyei ◽  
Moshfique Uddin

PurposeThis paper aims to demonstrate how financial leverage impacts firm investment and the extent to which this relationship is conditional on the level of information asymmetry as well as growth.Design/methodology/approachThe paper relies on data from 2,403 Indian firms during the period 1995-2014, generating a total of 19,544 firm-year observations. Analysis is conducted by using various panel econometric techniques.FindingsDrawing insights from agency theories, the paper uncovers that financial leverage is negatively and significantly related to firm investment. It is also observed that the impact of financial leverage on firm investment is significant for high information asymmetric firms. Finally, the paper shows that the relationship between leverage and firm investment is significant for low-growth firms. However, no significant relationship is found between leverage and investment for high-growth firms.Originality/valueThis paper provides fresh evidence on the leverage–investment nexus and, to the authors’ knowledge, it the first paper to examine the extent to which this leverage–investment relationship is driven by the level of information asymmetry.


2019 ◽  
Vol 31 (2) ◽  
pp. 306-329 ◽  
Author(s):  
Qun Wu ◽  
Kun Liao ◽  
Xiaodong Deng ◽  
Erika Marsillac

Purpose Previous literature tends to combine postponement and modularity or view them as parallel factors to achieve mass customization (MC) while ignoring the sequence of a firm to design and implement operations and supply chain strategy. Based on a customer-oriented strategy and theories of organizational information processing theory, three-dimensional (3D) concurrent engineering and resource dependency, the purpose of this paper is to propose a sequential model reflecting the sequence of practices as well as an overview picture for a firm to achieve MC. Design/methodology/approach The model links three company antecedents – postponement orientation, operational alignment and information sharing, to three company supply chain practices – product and process modularity and supplier segmentation. These practices, in turn, lead to the company’s MC capabilities. The proposed model is tested with a data set collected from automotive suppliers in China and in the USA. Structural equation modeling is used to analyze the data and test the model. Findings The results suggest that, for suppliers to achieve MC, postponement orientation and operational alignment are vital antecedents. The results also reveal the important responsibility and role of information sharing practices in coordinating suppliers’ modularity practices. Originality/value This research provides three findings that are of value to both academicians and practitioners of supply chain management. First, this study originally proposed and empirically tested that a postponement orientation is an antecedent of product and process modularity and supplier segmentation to achieve MC in the automotive sector, contrary to the traditional view of parallel relationships for both. Second, it developed and verified measures of operational alignment and supplier segmentation for future research use. Third, the vital role of information sharing to coordinate internal and external supply chain practices to achieve MC is empirically supported.


2016 ◽  
Vol 11 (4) ◽  
pp. 385-397
Author(s):  
Aleksandra Skorupińska ◽  
Łukasz Arendt

The paper discusses the role of Information and Communication Technologies for labour productivity in the Central and Eastern European countries, taking into account the consequences of the latest global economic crisis. It focuses on the factors (ICT complementarities) influencing the ICT diffusion trajectories, and thus having impact on labour productivity. The fixed effects models and least squares dummy variable (LSDV) regression was implemented with the use of panel data for 21 European Union member countries. The analysis revealed that only some complementary factors to ICT investments appeared significant to affect labour productivity in the CEE Region. It also showed that sources of labour productivity are sensitive to cyclical changes in the economy.


2015 ◽  
Vol 8 (1) ◽  
pp. 93-108 ◽  
Author(s):  
Itismita Mohanty ◽  
ANU RAMMOHAN

Purpose – This paper aims to analyse factors that influence child schooling outcomes in India, specifically the role of gender. Design/methodology/approach – This paper uses data from the nationally representative Indian National Family Health Surveys 1995-1996 and 2005-2006 and estimates Heckman sample selection, cluster fixed-effects and household fixed-effects econometric models. The dependent variables are the child’s enrolment status and conditional on enrolment child’s years of schooling. Findings – This analysis finds statistically significant evidence of male advantage both in schooling enrolment as well as years of schooling. However, using a cluster fixed-effects model, our analysis finds that within a village, conditional on being enrolled, girls spend more years in school relative to boys. Other results show that parental schooling has a positive and statistically significant impact on child schooling. There is statistically significant wealth effect, community effect and regional disparities between states in India. Originality/value – The large sample size and the range of questions available in this data set, allows us to explore the influence of individual, household and village level social, economic and cultural factors on child schooling. The role of gender on child schooling within a village, intrahousehold resource allocation for schooling and regional gender differences in schooling are important issues in India, where education outcomes remain poor for large segments of the population.


2013 ◽  
Vol 15 (4) ◽  
pp. 117-132
Author(s):  
Christian Le Bas ◽  
William Latham ◽  
Dmitry Volodin

This paper provides new insights into the role of individual inventors in the innovation process. Individuals are central in this creative process because innovation is not simply a product of firms and organizations; it requires individual creativity (Rothaermel and Hess, 2007). We focus our analysis on prolific inventors (a rich sub category of inventors) because they contribute so hugely to national invention totals (Le Bas et al., 2010) and tend to produce inventions that have more economic value (Gambardella et al., 2005; Gay et al., 2008). Converging empirical evidence has established the significance of prolific inventors (Ernst et al., 2000). Previous studies of prolific (or “key”) inventors have focused more on the firms in which they work or on the industries in which the firms operate. Narin and Breitzman’s (1995) seminal work on the topic is based on an analysis of only four firms in a single sector and a recent paper by Pilkington et al. (2009) uses only two firms. In contrast to these studies on small samples, we use a very large data set which includes thousands of inventors in thousands of firms from several countries.


2017 ◽  
Vol 38 (5) ◽  
pp. 765-787 ◽  
Author(s):  
Yolanda F. Rebollo-Sanz

Purpose The purpose of this paper is to show that for some key topics on labour economics such as the effect of seniority and job mobility in wages, it is important to explicitly consider firm fixed effects. The author also wants to test whether the importance of firm in explaining wage dispersion is higher or lower in Spain than in other European countries. Design/methodology/approach The author estimates an individual wage equation where firm and workers effects are considered and the estimation process control for censored wages. This exercise is performed for the Spanish economy over the course of a whole business cycle, i.e., 2000-2015. Findings The author demonstrates that Spanish firms contribute to explain around 27 per cent of the individual wage heterogeneity but more importantly around 74 per cent of inter-industry wage differentials. In both cases, this contribution is mainly related to large dispersion in firm’s wage policies. The process of positive sorting of workers across firms or industries does not play an important role. Interestingly, the importance of firm’s wage policies in explaining individual wage dispersion has increased over the current Big Recession. Practical implications The results confirm that firms set wages and, henceforth, are partially responsible for individual wage heterogeneity but more importantly for inter-industrial wage dispersion. Originality/value The exercise is performed under optimal conditions because the author uses a longitudinal matched employer-employee data set, observed wages are at a monthly frequency, and implements an estimation method suitable for censored models with two high-dimensional fixed effects. This is the first study that looks deeply into the role of firms in explaining wage heterogeneity at the individual and industry level in Spain and along the current Big Recession.


2017 ◽  
Vol 23 (1) ◽  
pp. 3-8
Author(s):  
R. P. BAIN ◽  
D. P. RAI ◽  
SIDDARTH NAYAK

If we want to convert our rural population into knowledge driven, progressive, self sufficient, self reliant, sustainable society, the role of Information and Communication Technologies (ICT’s) cannot be ignored. Timely availability information is considered as most important factor in Indian agriculture. At present ICT is the technology of this millennium. Transferring the developed technology to all end users is time-consuming and tiresome task and is often not completed due to paucity of resources and lack of manpower. In India, agriculture and rural development has gained significantly from ICT due to its widespread extension and adoption. In this era of internet, ICT is committed to provide real, timely accurate authentic information to the farmers and rural peoples.


2016 ◽  
Vol 24 (1) ◽  
pp. 93-115 ◽  
Author(s):  
Xiaoying Yu ◽  
Qi Liao

Purpose – Passwords have been designed to protect individual privacy and security and widely used in almost every area of our life. The strength of passwords is therefore critical to the security of our systems. However, due to the explosion of user accounts and increasing complexity of password rules, users are struggling to find ways to make up sufficiently secure yet easy-to-remember passwords. This paper aims to investigate whether there are repetitive patterns when users choose passwords and how such behaviors may affect us to rethink password security policy. Design/methodology/approach – The authors develop a model to formalize the password repetitive problem and design efficient algorithms to analyze the repeat patterns. To help security practitioners to analyze patterns, the authors design and implement a lightweight, Web-based visualization tool for interactive exploration of password data. Findings – Through case studies on a real-world leaked password data set, the authors demonstrate how the tool can be used to identify various interesting patterns, e.g. shorter substrings of the same type used to make up longer strings, which are then repeated to make up the final passwords, suggesting that the length requirement of password policy does not necessarily increase security. Originality/value – The contributions of this study are two-fold. First, the authors formalize the problem of password repetitive patterns by considering both short and long substrings and in both directions, which have not yet been considered in past. Efficient algorithms are developed and implemented that can analyze various repeat patterns quickly even in large data set. Second, the authors design and implement four novel visualization views that are particularly useful for exploration of password repeat patterns, i.e. the character frequency charts view, the short repeat heatmap view, the long repeat parallel coordinates view and the repeat word cloud view.


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